Mashat: GDP growth reflects positive impact of govt's corrective policies

CAIRO - 26 March 2025: Egypt's GDP growth rate rose significantly to 4.3 percent during the second quarter of fiscal year 2024/25, compared to 2.3 percent in the corresponding quarter of the previous fiscal year.

 

This growth is attributed to the Egyptian government's adoption of clear policies to consolidate macroeconomic stability and enhance the governance of investment spending.

 

Growth prospects remain positive, supported by ongoing reforms and the strategic transition from a non-tradable economy to a tradable one, enhancing Egypt's resilience to global challenges.

 

In her comment, Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, emphasized that the continued recovery in GDP growth in the second quarter of the current fiscal year reflects the positive impact of the corrective policies implemented by the government at the fiscal and monetary levels, as well as the reduction in public investment, to consolidate macroeconomic stability and enhance the business environment.

 

This recovery is driven by structural reforms aimed at diversifying sources of growth and increasing the competitiveness of the Egyptian economy. This is evident in the strong performance of productive sectors such as: manufacturing, tourism, and telecommunications. She added that the government is moving forward towards the transition to tradable sectors such as manufacturing, for a more diversified and sustainable economy, enhancing Egypt's ability to face global economic challenges.

 

 

Among the most prominent messages conveyed by the increased growth for the Egyptian economy are:

 

* Continued economic growth recovery, reaching 4.3 percent in the second quarter of 2024/2025, supported by macroeconomic stability, compared to 2.3 percent in the corresponding period.

 

* Corrective fiscal and monetary policies implemented by the government and the reduction in public investment have consolidated macroeconomic stability and strengthened growth recovery.

 

* Positive future prospects for GDP growth, supported by macroeconomic stability, structural reforms, and the diversification of the Egyptian economy.

 

* Strong performance by non-oil manufacturing industries, tourism, and telecommunications sectors. We are continuing to transform the structure of the Egyptian economy towards tradable sectors and manufacturing.